Total is to drill at least seven wells on an exploration block it operates in Uganda, according to a report.
The French major is to throw $300 million at exploration and appraisal projects in two areas of operation in the East African country this year, Dow Jones reported, citing a company executive.
Loic Laurandel, head of Total’s Ugandan subsidiary, revealed the company’s plans in a presentation to a parliamentary panel on Friday, Dow Jones reported.
The $300 million kitty would be ploughed into at least seven probes on Exploration Area (EA) 1 which Total recently took control over from Tullow Oil.
Source: Upstream Online
“A very intensive appraisal program is being carried out in order to maximise the potential of the block,” Dow Jones quoted Laurandel as saying.
Total is also set to appraise three oilfields on the block, Down Jones reported.
Uganda’s government recently approved an over $2 billion deal between Tullow, Total and China’s CNOOC to share three blocks in the country which were then split into five blocks.
“Total and its partners are working on an ambitious development program on the five blocks,” Laurandel continued.
“The investment costs of such global development should exceed $10 billion for the upstream part only, most of this amount being spent by 2017.”